Houston Area Man, Woman Sentenced To Prison In Condominium Loan Scam

HOUSTON (CBS Houston) A Houston-area man and woman have been sentenced prison for their roles in a loan scam. They were also ordered to repay more than $16 million in a condominium loan scam.

On Monday, federal judge in Houston sentenced 45-year-old Derwin Frazier and his 44-year-old wife, Veronica, of Pearland in fraudulent sales and dealings of Kirby Lofts.

Derwin Frazier earlier pleaded guilty to conspiracy to commit money laundering while his wife Veronica pleaded guilty to conspiracy to commit wire fraud; she was sentenced to a year and a day in prison and was also ordered to pay nearly $322,000 in restitution.

According to prosecutors, Frazier and his wife defrauded residential lenders while recruiting people to apply for loans. The couple also coerced borrowers to use false information and documents to obtain a condominium home. After having submitted invoices for payment from the bogusly secured loans, the couple then split the money with the borrowers.